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Payroll has no governance layer. That is the problem PSE solves.

ADP runs payroll. UKG runs payroll. Nobody validates compliance before it finalizes. PSE is the control plane that closes that gap — ensuring every payroll outcome is compliant, explainable, and provable before payroll closes.

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We don't compete with your payroll vendor. We govern it.
No Third-Party Scripts or Trackers
Audit-Ready Documentation
Multi-State Coverage

What the enforcement data shows

15%Maximum IRC §6656 penalty on late federal payroll depositsIRC §6656(b)(1); IRS Notice 746 (Rev. 12-2024)
$149.9MRecovered by DOL Wage & Hour in FY2024 back wagesDOL WHD FY2024 Statistical Release
63%Of payroll professionals name compliance their biggest challengePayrollOrg "Getting the World Paid" Survey, 2024

ADP processes your payroll. UKG tracks your time. Dayforce manages your workforce. None of them govern the output.

Built for payroll teams in compliance-intensive industries

Healthcare
#1 in DOL back-wage recovery
Transportation & Logistics
High overtime exposure
Real Estate & Property
Multi-state classification risk
Retail & Hospitality
Tip & minimum wage violations
Financial Services
IRC §6656 deposit exposure
Manufacturing
Multi-state, shift-work complexity
Staffing & Workforce
Worker classification risk
Home Health & Care
FLSA exemption complexity
Services

The governance and audit intelligence layer for enterprise payroll.

Governed Payroll Runs

Pre-run compliance validation before every cycle commits. Every run governed, every decision documented.

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Tax & Compliance

Payroll tax positions audited across active jurisdictions, with structured response plans for IRS and state agency notices.

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Workforce Analytics Coming Soon

Labor cost exposure, overtime liability, and compliance posture — visible in real time, not buried in a quarterly deck.

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Benefits Reconciliation Coming Soon

Benefits deduction reconciliation — PSE audits payroll deduction reports against benefit elections to identify discrepancies.

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System Integration Coming Soon

Connect payroll to your HRIS and workforce management platforms with pre-built integrations and custom APIs.

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Strategic Advisory

Payroll structure optimization, entity setup guidance, and compliance posture strategy for growing organizations.

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CHAP AI™

Compliance, Helpdesk & Automation Platform

The compliance brain behind every payroll run.

An AI intelligence layer that analyzes payroll scenarios against federal and state regulations, surfaces findings for human review, and produces audit-ready determinations. Every determination requires a named human approver before any action is taken.
Four-stage pipeline
Detect
Scans timecard and payroll data for statutory violations, policy exceptions, and anomalies.
Flag
Surfaces issues with severity levels and the specific regulation or policy that triggered the flag.
Explain
Plain-language rationale for every flag — what’s wrong, why it matters, and what clears it.
Document
Timestamped evidence of what was checked, what passed, and what was flagged. Audit-ready by default.
chap-ai scan --pre-run
OvertimeFLSA §207
Min wageCA Lab §1182
Meal breakCA Lab §512
Split shiftIWC Order 4
Sick leaveCA Lab §246
Sample scan — illustrative4/5 Passed
Full CHAP AI documentation
Early Access
CHAP Guard — Chrome Extension
CHAP AI delivered directly into your payroll system. Real-time compliance badges, inline violation alerts, and contextual explanations — right where you work.
UKGADP

Compliance intelligence

What the enforcement data tells payroll teams

“Your payroll vendor processes transactions. It does not tell you whether those transactions are legally correct. That is the gap PSE closes.”
15%

The penalty rate on an unpaid deposit once the IRS sends its first notice

Under IRC §6656, a four-tier escalation means a single late deposit moves from a 2% nuisance to a 15% penalty without a single late payroll to employees. The error is invisible until the IRS notice arrives, typically 60–90 days after the pay period.

IRS IRC §6656IRS Notice 746 (Rev. 12-2024) · IRS Internal Revenue Manual 20.1.4
How CHAP AI addresses this
  • Pre-run deposit schedule validation against your pay frequency and liability thresholds before payroll commits
  • Automatic detection of semi-weekly vs. monthly depositor status mismatches — the most common §6656 trigger
  • Audit-ready deposit schedule documentation generated automatically for each pay period
Estimate your exposure
$1,296 avg

Back wages per affected employee recovered by DOL WHD in FY2023

In FY2023, the DOL Wage & Hour Division recovered $212M in back wages across 163,000 workers. For a 500-person employer that's a potential $648,000 exposure per investigation cycle. Overtime miscalculation and split-shift violations remain the leading triggers.

DOL WHD FY2023DOL FY2023 Statistical Release · Bitner Henry Insurance Group, 2024
How CHAP AI addresses this
  • Real-time FLSA §207 overtime calculation validation against actual hours worked — not just entered hours
  • Split-shift and meal-break violation detection aligned to applicable state IWC orders before payroll runs
  • Three-year audit trail of all wage decisions accessible for any WHD investigation
Estimate your exposure
120 hrs/yr

Lost to payroll compliance issue resolution per employer, per year

EY research found companies spend an average of 29 hours resolving litigation and 91 hours managing compliance issues annually. Separately, 14% of businesses faced compliance litigation related to payroll errors in the prior 12 months.

EY Payroll SurveyErnst & Young Global Payroll Operations Survey · via Lano, 2024
How CHAP AI addresses this
  • Every flag includes the specific statute, plain-language explanation, and recommended correction — eliminating research time
  • Pre-run detection means issues resolve before the run commits, not after a notice or audit request
  • Automated documentation produces audit-ready records on demand with zero additional effort
Estimate your exposure
Get Started

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Personalized walkthrough
Tailored to your payroll workflow
30-minute session
Quick overview with live Q&A
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